Artificial Intelligence helps innovate Claims Journey
Artificial Intelligence is making traditional claims processing a thing of the past. Companies are pioneering new cognitive solutions that are making the claims process faster, smarter and more efficient than ever before.
With the overnight shift to remote working, claims surges resulting from havoc wrought by the pandemic and customers moving to mostly digital communications channels, insurance providers have been hard pressed to keep up.
According to Accenture, 41% of policyholders who submit a claim are likely to switch insurance companies within a year. The survey also reveals that customers who have submitted an insurance claim in the past two years are almost twice as likely to switch insurers in the next 12 months compared to those who have not submitted a claim: 41% compared to 22%.So it is very important to improve the claims journey through Digital First Notice of Loss (FNOL)
A recent survey by Intelligent Insurer found insurance executives identified FNOL (59%) as the part of the customer journey with the greatest potential for digitization, followed by payment (50%) and fraud checks (46%).
“Integrating real-time customer interactions and insights from AI modules into customer journeys poses vastly different requirements for the IT architecture. While in the past, online interactions with the customer were only one way (for example, saving the details of an online FNOL into the claims database), interactive digital customer journeys require real-time, bidirectional interactions”. — McKinsey
Recently however, technology, data & AI have become vital to competitive advantage. Some real examples of insurance programs generating genuine ROI:
1.Improved Claims Management through chatbots, analytics and AI to empower quick decision making for agents, automated customer responses to minimize agent time, automated customer identity management, automated photo or document collection and assessment, report assessment.
2.Using IoT and device tracking to send information to the insurer, digital customer experience management programs.
3.The reasons for claims and even predicting incidents before they occur to warn the customer and minimize the need for future claims
Digitizing claims can pay off. By making systematic yet bold moves, insurers could see increased customer satisfaction and huge reductions in claims expenses.
Reach out to us to know more about Artificial intelligence and its applications in Motor Insurance.
References-
https://towardsdatascience.com
https://www.mckinsey.com/industries/financial-services/our-insights/insurance-blog
